Cerrado Gold Completes Feasibility Infill Drill Program and Is Finalizing Plans for an Aggressive Exploration Program at Its Monte Do Carmo Project in Brazil

Rhea-AI Summary

Cerrado Gold announced the completion of a 48,842m drilling program at its Monte do Carmo Project in Brazil, expected to enhance resources for an upcoming Feasibility Study slated for completion by May 2023. The infill drilling program successfully upgraded the majority of resources into Measured and Indicated categories, while new extensional zones and condemned areas were identified. The company is also preparing a 23,000m exploration program targeting potential new deposits. Notable drill results include 11m at 5.39 g/t Au and 25m at 19.01 g/t Au, showcasing the area's rich mineralization. Full assay results are anticipated in February.

Positive

• Successful completion of a 48,842m drilling program, enhancing resource categories.
• Significant gold intercepts reported: 11m at 5.39 g/t Au and 25m at 19.01 g/t Au.
• Plans to initiate a 23,000m exploration program to test new targets.

Negative

• None.

• 48,842m infill/extensional/condemnation drilling program completed
• Feasibility Study completion expected May 2023
• 23,000m step-out exploration program to begin shortly
• Monte do Carmo property still considered in "Discovery" phase

TORONTO, ON / ACCESSWIRE / January 31, 2023 / Cerrado Gold Inc. (TSXV:CERT)(OTCQX:CRDOF) ("Cerrado" or the "Company") is pleased to announce additional results from its 2022/23 infill/extensional drill program for the completion of its Feasibility Study expected by the end of May at its Monte Do Carmo Project located in Tocantins State, Brazil ("MDC").

The 2022/23 drill program has successfully upgraded the bulk of the known resources into Measured and Indicated categories, targeted new extensional zones and condemned areas for project infrastructure in support of the ongoing Feasibility Study. The final hole as part of this program was completed last week. Full assay results from the program are expected to be completed in February.

The Company is now finalizing plans for the 2023 exploration program which will be designed to test numerous targets along a 30km stretch of known mineralization within the Monte Do Carmo property. While moving towards production, the Monte do Carmo property is still considered to be under explored and in the "Discovery" phase with potential for significant new deposits.

The Company is currently reporting assay results from 17 drill holes, totaling 4,913m (see Tables 1 & 2) completed from October to December 2022. As of January 16, 2022, a total of 193 drill holes, totaling 48,842m have been completed as part of the program started in early 2022, including 157 holes at Serra Alta: and 36 holes in the satellite exploration areas.

Drill Hole Highlights (All composites are reported as true thickness):

Serra Alta (Infill)

FSA-308

• 11m at 5.39 g/t Au from 3m
  • Including 4m at 11.91 g/t Au from 7m
• 39m at 1.46 g/t Au from 101m
  • Including 2m at 10.19 g/t Au from 43m

FSA-286

• 25m at 19.01g/t Au from 443.18m
  • Including 3m at 178.46 g/t Au from 446m

FSA-309

• 91m at 2.09g/t Au from 66m
  • Including 7m at 19.09 g/t Au from 110m

Mark Brennan, CEO and Co-Chairman commented, "The infill program at Serra Alta has been extremely successful in converting the majority of known resources for the pending feasibility study, as well as having identified several extensional zones, namely Gogo do Onca, E2 and the new and very promising Northeast zone."

He continued, "While work continues to focus on delivering the Feasibility Study, we are very excited to be in the final stages of planning an aggressive new exploration program for 2023 at Monte do Carmo. There are a substantial number of gold showings and targets on the property that have not yet been drill tested where we see the potential for future discoveries similar to Serra Alta. We remain convinced of the district scale potential at Monte Do Carmo."

East Zone

Drill holes FSA-286, FSA-307, FSA-309, FSA-311, FSA-313, FSA-315, FSA-316, FSA-317, FSA-318, FSA-319 were collared in the East Zone. The best reported intercepts in the East Zone correspond to hole FSA-286 that intercepted a notable discrete sheer quartz vein that reported 3m at 178.46 g/t Au from 446m (including 1 m at 412 g/t). The shear vein has a Northwest orientation.

This intercept defines an interesting zone of coalescence of at least 3 fertile structures, including the mentioned shear zone, the East Zone/E2 general trend of extensional veins (North-South) and the main E3 Porphyritic Dyke orientation (West/Northwest). Cerrado considers that conceptually these intersection zones may represent second order control of higher-grade trends.

Hole FSA-309 is also outstanding. Shallow dipping drilling targeted the granite in proximity to the volcanic intrusive contact intercepting 91m at 2.09g/t Au from 66m, including 7m at 19.09 g/t Au from 110m. Results confirm the significance of the contact zone in terms of extending the continuity and lateral extent of the mineralization and consolidate a well-endowed area on the northern edge of the east zone.

Pit Norte

Drill Holes FSA-308, FSA-310 and FSA 320 were collared in Pit Norte. The best intercept comes from hole FSA-308, collared in the central part of the zone. FDS-308 intercepted 11m at 5.39 g/t Au from 3m, including 4m at 11.91 g/t Au from 7m; and 39m at 1.46 g/t Au from 101m, including 2m at 10.19 g/t Au from 43m. This shallow intercept confirms the low strip in this segment of the Pit which is expected to be exploited during the early phases of mining.

East 3 (E3)

Drill Hole FSA-306 targeted the recently discovered E3 zone. Mineralization in E3 relates to the occurrence of a granitic porphyry dyke with a general West/Northwest direction, that provides a permissive host rock and fluid conduits to upper stratigraphic levels. Holes have been drilled in different directions to better constrain the geometry and extent of the dyke. The best intercept in E3 reported today is from hole FSA-305 that crosses 3m (apparent width) at 2.14 g/t. E3 remains open both along strike and down dip.

Figure 1. Reported and Ongoing Drill Hole Locations

Figure 2. Select Highlighted Cross Sections of Reported Holes

East Zone

E3

Pit Norte

* Scales vary by section

Table 1. Drill Hole Collar Table

Sector	Hole number	UTM N m	UTM E m	Elevation m	Depth m	Azimuth	Dip
Pit Norte	FSA-308	8810040	820461	473	210.0	125.00	-15.74
Pit Norte	FSA-310	8810069	820502	505	285.6	121.69	-33.78
Pit Norte	FSA-320	8810066	820504	505	210.3	140.00	-20.28
East Zone	FSA-286	8810545	820676	661	573.9	100.75	-41.16
East Zone	FSA-307	8810721	820466	567	170.7	95.00	-15.13
East Zone	FSA-309	8810565	820510	571	180.3	75.00	-15.40
East Zone	FSA-311	8810564	820510	571	150.6	95.00	-15.74
East Zone	FSA-313	8810763	820420	556	164.9	80.00	-19.60
East Zone	FSA-315	8810604	820440	552	201.6	80.00	-19.98
East Zone	FSA-316	8810722	820465	567	114.8	70.00	-15.22
East Zone	FSA-317	8810401	820670	668	340.3	92.64	-54.72
East Zone	FSA-318	8810647	820444	569	170.5	75.00	-25.06
East Zone	FSA-319	8810249	820343	512	132.2	120.00	-25.39
East 3	FSA-305	8810670	820858	661	565.4	118.92	-50.33
East 3	FSA-306	8810269	821359	698	550.0	314.80	-49.76
East 3	FSA-312	8810699	820891	666	687.9	110.56	-50.39
Gogó da Onça	FGO-031	8811023	820556	538	204.5	145.00	-29.46

*Collar coordinates by GNSS TP-20 UTM Coordinates, Datum: SAD69 / zone 22S.
*Azimuth Set by compass
*Dip and drill hole trajectory by SPT (Stockholm Precision Tools) GyroMaster™

Table 2. Drill Hole Composites

	DDH		From	To	LENGTH (m)	Width (m)	Au (g/t)
Serra Alta Pit Norte	FSA-308		3.24	14.12	10.88	10.62	5.39
	FSA-308	includes	6.55	10.89	4.34	4.24	11.91
	FSA-308	and	58.13	59.35	1.22	1.19	1.11
	FSA-308	and	74.13	75.22	1.09	1.06	0.31
	FSA-308	and	86.19	92.65	6.46	6.31	0.68
	FSA-308	and	101.54	141.77	40.23	39.27	1.46
	FSA-308	includes	119.62	121.84	2.22	2.17	10.58
	FSA-308	includes	128.62	131.95	3.33	3.25	5.99
	FSA-308	and	151.34	165.80	14.46	14.12	0.40
	FSA-310		76.06	80.05	3.99	3.56	0.56
	FSA-310	and	84.16	88.18	4.02	3.59	1.83
	FSA-310	Includes	87.16	88.18	1.02	0.91	6.27
	FSA-310	and	101.31	121.98	20.67	18.44	1.05
	FSA-310	Includes	103.32	105.31	1.99	1.78	5.86
	FSA-310	and	126.05	127.10	1.05	0.94	0.49
	FSA-310	and	131.10	140.35	9.25	8.25	1.42
	FSA-310	Includes	134.10	136.26	2.16	1.93	3.99
	FSA-310	and	144.13	150.26	6.13	5.47	1.04
	FSA-310	and	155.38	183.35	27.97	24.95	1.32
	FSA-310	Includes	160.93	161.93	1.00	0.89	18.40
	FSA-310	Includes	164.89	165.83	0.94	0.84	7.36
	FSA-310	and	190.85	191.88	1.03	0.92	0.73
	FSA-310	and	258.57	261.65	3.08	2.75	1.62
	FSA-310	and	265.80	267.93	2.13	1.90	1.89
	FSA-320		No significant values
Serra Alta - East Zone	FSA-286		179.30	180.27	0.97	0.95	0.96
	FSA-286	and	186.55	203.88	17.33	17.03	1.04
	FSA-286	and	222.79	223.82	1.03	1.01	1.17
	FSA-286	and	230.70	235.82	5.12	5.03	1.24
	FSA-286	and	250.63	251.71	1.08	1.06	0.63
	FSA-286	and	262.57	280.51	17.94	17.63	0.75
	FSA-286	and	290.20	291.25	1.05	1.03	0.55
	FSA-286	and	305.14	312.40	7.26	7.13	1.30
	FSA-286	and	315.65	316.68	1.03	1.01	0.54
	FSA-286	and	347.49	348.54	1.05	1.03	0.63
	FSA-286	and	363.12	364.19	1.07	1.05	0.43
	FSA-286	and	376.14	382.92	6.78	6.66	0.43
	FSA-286	and	392.80	393.92	1.12	1.10	0.30
	FSA-286	and	402.61	403.72	1.11	1.09	0.55
	FSA-286	and	410.21	417.40	7.19	7.07	0.33
	FSA-286	and	443.18	468.21	25.03	24.60	19.01
	FSA-286	includes	446.42	449.15	2.73	2.68	148.46
	FSA-286	includes	452.90	455.69	2.79	2.74	22.99
	FSA-286	and	481.60	485.75	4.15	4.08	0.98
	FSA-286	and	491.15	497.43	6.28	6.17	0.42
	FSA-286	and	500.62	501.71	1.09	1.07	0.44
	FSA-286	and	515.36	516.40	1.04	1.02	1.89
	FSA-307		82.21	83.22	1.01	1.01	0.35
	FSA-307	and	91.54	92.60	1.06	1.06	0.34
	FSA-307	and	95.84	96.88	1.04	1.04	0.30
	FSA-307	and	101.07	107.22	6.15	6.15	0.66
	FSA-309		34.00	46.93	12.93	12.20	0.51
	FSA-309	and	52.97	56.88	3.91	3.69	0.39
	FSA-309	and	65.91	162.15	96.24	90.81	2.09
	FSA-309	Includes	83.06	85.12	2.06	1.94	8.50
	FSA-309	Includes	109.68	116.87	7.19	6.78	19.09
	FSA-309	Includes	134.26	137.40	3.14	2.96	2.26
	FSA-309	Includes	161.13	162.15	1.02	0.96	3.86
	FSA-311		35.18	49.82	14.64	14.48	0.85
	FSA-311	includes	38.50	39.58	1.08	1.07	3.63
	FSA-311	includes	44.37	45.54	1.17	1.16	3.69
	FSA-311	and	52.94	53.97	1.03	1.02	1.81
	FSA-311	and	57.17	58.24	1.07	1.06	0.80
	FSA-311	and	68.00	69.04	1.04	1.03	0.41
	FSA-311	and	73.15	74.15	1.00	0.99	2.49
	FSA-311	and	81.20	82.22	1.02	1.01	1.58
	FSA-311	and	85.26	90.39	5.13	5.07	1.44
	FSA-311	and	94.52	104.71	10.19	10.08	1.63
	FSA-311	includes	96.51	98.62	2.11	2.09	4.99
	FSA-311	and	113.93	118.04	4.11	4.06	1.49
	FSA-311	includes	113.93	114.95	1.02	1.01	5.22
	FSA-311	and	122.18	133.40	11.22	11.09	1.58
	FSA-311	includes	130.35	133.40	3.05	3.02	3.64
	FSA-311	and	140.44	148.52	8.08	7.99	1.36
	FSA-313		No significant values
	FSA-315		95.10	96.06	0.96	0.92	0.53
	FSA-315	and	110.07	111.06	0.99	0.95	0.67
	FSA-315	and	132.60	133.62	1.02	0.98	0.38
	FSA-316		No significant values
	FSA-317		207.17	219.47	12.30	11.93	0.85
	FSA-317	Includes	207.17	208.09	0.92	0.89	3.99
	FSA-317	Includes	213.41	214.41	1.00	0.97	2.46
	FSA-317	Includes	218.46	219.47	1.01	0.98	2.37
	FSA-317	and	223.39	226.14	2.75	2.67	0.24
	FSA-317	and	272.38	273.42	1.04	1.01	0.41
	FSA-317	and	314.11	318.26	4.15	4.02	0.59
	FSA-317	and	323.47	329.70	6.23	6.04	0.64
	FSA-317	Includes	324.49	325.56	1.07	1.04	2.77
	FSA-318		13.43	18.00	4.57	4.51	0.33
FSA-318	and	35.00	36.04	1.04	1.03	0.70
FSA-318	and	45.43	47.54	2.11	2.08	0.32
FSA-318	and	60.88	61.89	1.01	1.00	0.83
FSA-318	and	86.69	87.72	1.03	1.02	0.50
FSA-318	and	96.90	97.90	1.00	0.99	0.34
FSA-318	and	134.87	135.90	1.03	1.02	0.56
FSA-318	and	142.15	145.14	2.99	2.95	0.59
FSA-319		39.15	40.34	1.19	1.19	0.40
FSA-319	and	44.60	45.61	1.01	1.01	0.31
FSA-319	and	51.91	62.03	10.12	10.12	0.33
FSA-319	and	72.35	73.40	1.05	1.05	0.32
FSA-319	and	80.75	82.79	2.04	2.04	0.44
FSA-319	and	101.38	102.60	1.22	1.22	0.31
Serra Alta - E3	FSA-305		461.02	461.92	0.90	-	0.91
	FSA-305	and	478.95	482.33	3.38	-	2.14
	FSA-305	Includes	478.95	479.77	0.82	-	6.75
	FSA-306		482.98	485.11	2.13	-	0.50
	FSA-306	and	508.87	511.71	2.84	-	2.02
	FSA-306	Includes	509.69	510.64	0.95	-	5.10
	FSA-312		No significant values
Gogó da Onça	FGO-031		71.21	73.22	2.01	1.42	0.59
	FGO-031	and	80.08	81.11	1.03	0.73	0.54
	FGO-031	and	126.40	129.78	3.38	2.38	0.45
	FGO-031	and	136.06	141.45	5.39	3.80	0.37
	FGO-031	and	145.15	146.28	1.13	0.80	0.40
	FGO-031	and	154.33	157.77	3.44	2.42	0.37
	>10m x g/t		>30m x g/t

Quality Assurance and Quality Control

Analytical work was carried out by ALS international lab (ALS). MDC send half core samples for sample preparation to the lab. The facilities of the prep lab are located in Goiânia, Brazil 835 km from the MDC project and alternatively in Belo Horizonte, Brazil 1,110 Km from the MDC project. MDC sends out samples to ALS international labs (ALS) with the prep lab located in Goiânia or alternatively in Belo Horizonte. ALS lab sends the prepared aliquots for analytical assay to their lab in Lima, Peru where the prepared samples are systematically analyzed for gold (ppm) by fire assay (Au-AA24) or gold (ppm) by metallic screen (Au-SCR24). Randomly the ICP (Inductively coupled plasma mass spectrometry) is done for trace elements in 4 acids (hydrofluoric, perchloric, nitric and hydrochloric) digestion (ME-MS-61). ALS has routine quality control procedures which ensure that every batch of samples includes three sample repeats and at least two commercial standards and two blanks. Cerrado uses standard QA/QC procedures, inserting reference standards and blanks, for the drilling program. The Reference material used are from CDN Resource Laboratories Ltd., ITAK (Instituto de Tecnologia August Kekulé Ltda. And OREAS).

Review of Technical Information

The scientific and technical information in this press release has been reviewed and approved by Sergio Gelcich, P.Geo., Vice President, Exploration for Cerrado Gold Inc., who is a Qualified Person as defined in National Instrument 43-101.

Mark Brennan	David Ball
CEO and Co Chairman	Vice President, Corporate Development
Tel: +1-647-796-0023	Tel: +1-647-796-0068
mbrennan@cerradogold.com	dball@cerradogold.com

About Cerrado
Cerrado is a Toronto based gold production, development and exploration company focused on gold projects in the Americas. The Company is the 100% owner of both the producing Minera Don Nicolás mine in Santa Cruz province, Argentina, and the highly prospective development project, Monte Do Carmo located in Tocantins State, Brazil.

At Minera Don Nicolas, Cerrado is maximising asset value through further operation optimization and continued production growth. An extensive campaign of exploration is ongoing to further unlock potential resources in our highly prospective land package.

At Monte Do Carmo, Cerrado is rapidly advancing the Serra Alta deposit through Feasibility and production. The Serra Alta deposit Indicated Resources of 541 kozs of contained gold and Inferred Resources of 780 kozs of contained gold. The Preliminary Economic Assessment demonstrates robust economics as well as the potential to be one of the industry's lowest cost producers. Cerrado also holds an extensive and highly prospective 82,542 ha land package at Monte Do Carmo.

For more information about Cerrado please visit our website at: www.cerradogold.com.

Disclaimer

NEITHER TSX VENTURE EXCHANGE NOR ITS REGULATION SERVICES PROVIDER (AS THAT TERM IS DEFINED IN POLICIES OF THE TSX VENTURE EXCHANGE) ACCEPTS RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE.

This press release contains statements that constitute "forward-looking information" (collectively, "forward-looking statements") within the meaning of the applicable Canadian securities legislation, all statements, other than statements of historical fact, are forward-looking statements and are based on expectations, estimates and projections as at the date of this news release. Any statement that discusses predictions, expectations, beliefs, plans, projections, objectives, assumptions, future events or performance (often but not always using phrases such as "expects", or "does not expect", "is expected", "anticipates" or "does not anticipate", "plans", "budget", "scheduled", "forecasts", "estimates", "believes" or "intends" or variations of such words and phrases or stating that certain actions, events or results "may" or "could", "would", "might" or "will" be taken to occur or be achieved) are not statements of historical fact and may be forward-looking statements.

Forward-looking statements contained in this press release include, without limitation, statements regarding the business and operations of Cerrado. In making the forward- looking statements contained in this press release, Cerrado has made certain assumptions, including, but not limited to the expected timing to complete the Feasibility Study at MDC, the exploration potential and scale of MDC and conversion of resources from inferred to indicated. Although Cerrado believes that the expectations reflected in forward-looking statements are reasonable, it can give no assurance that the expectations of any forward-looking statements will prove to be correct. Known and unknown risks, uncertainties, and other factors which may cause the actual results and future events to differ materially from those expressed or implied by such forward-looking statements. Such factors include, but are not limited to general business, economic, competitive, political and social uncertainties. Accordingly, readers should not place undue reliance on the forward-looking statements and information contained in this press release. Except as required by law, Cerrado disclaims any intention and assumes no obligation to update or revise any forward-looking statements to reflect actual results, whether as a result of new information, future events, changes in assumptions, changes in factors affecting such forward-looking statements or otherwise.

SOURCE: Cerrado Gold Inc.

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https://www.accesswire.com/737353/Cerrado-Gold-Completes-Feasibility-Infill-Drill-Program-and-Is-Finalizing-Plans-for-an-Aggressive-Exploration-Program-at-Its-Monte-Do-Carmo-Project-in-Brazil

FAQ

What is the significance of the drilling program completion for CRDOF?

The completion of the 48,842m drilling program at CRDOF's Monte do Carmo Project improves resource categorization, crucial for the upcoming Feasibility Study.

When will the Feasibility Study for Monte do Carmo be completed?

The Feasibility Study for the Monte do Carmo Project is expected to be completed by May 2023.

What notable drill results were announced by Cerrado Gold?

Cerrado Gold reported notable drill results including 11m at 5.39 g/t Au and 25m at 19.01 g/t Au.

What future exploration plans does CRDOF have?

Cerrado Gold plans to begin a 23,000m exploration program targeting new mineralization areas shortly.

What phase is the Monte do Carmo property currently in?

The Monte do Carmo property is currently considered to be in the 'Discovery' phase.